H AND M SERVICES, LLC v. ALLIANCE INVENTORY SERVICE, LLC, et al.

Summary

The United States District Court for the Southern District of Ohio adopted a Magistrate Judge’s Report and Recommendation and held Robert Queen II and BC Inventory, LLC in contempt for failing to comply with a subpoena and appear at a show-cause hearing. The court imposed a $100-per-day fine on each party beginning May 28, 2024, until compliance, and ordered them to pay the plaintiff’s reasonable attorney’s fees and costs related to the contempt proceedings.

Holdings

1. The district court adopted the magistrate judge's Report and Recommendation because no objections were filed and the recommendation was not shown to contain clear error.
2. A person served with a subpoena may be held in contempt under Federal Rule of Civil Procedure 45(g) when the person fails without adequate excuse to obey the subpoena or an order related to it; Robert Queen II and BC Inventory, LLC met that standard.
3. A coercive fine of $100 per day, beginning May 28, 2024 and continuing until compliance with Rule 45, together with reasonable attorney's fees and costs incurred in connection with the show-cause motion and hearing, was appropriate.

Questions Presented

1. Whether the district court should adopt the magistrate judge's Report and Recommendation when no objections were filed.
2. Whether Robert Queen II and BC Inventory, LLC could be held in contempt under Federal Rule of Civil Procedure 45(g) for failing without adequate excuse to obey a subpoena and related court orders.
3. Whether a coercive fine of $100 per day and an award of reasonable attorney's fees and costs were appropriate sanctions for the subpoena noncompliance.

Disposition

other